Alberta Progressive Conservative Leader Jason Kenney says his team and the Wildrose party have made progress on a unity plan and an announcement is coming soon.
Kenney says representatives from both sides have narrowed the gap on key points of disagreement.
Friday was the self-imposed deadline for the parties to work out a merger plan.
Wildrose Leader Brian Jean said this week the ongoing discussions have been positive, but also said the work is too important to rush.
Members of both parties would have to ratify any proposed unity deal.
Both Kenney and Jean have said they will run for the leadership of the merged party.